Economy and welfare

Another of her key pledges is "economic democratisation" as big income disparities and bloated power of the nation's top conglomerates have escalated calls for greater fairness and equality in the market.

Focusing more on a "fair market" than "chaebol reform", Park pledges to protect the economically vulnerable, prevent large conglomerates' exploitation of power and reinforce consumer protection.

Dozens of measures put forward by Park are aimed at fostering growth of small and medium enterprises and restraining abuses of power by large family-owned businesses. She also underscores that large businesses' positive roles to spur growth and create jobs must be maximised.

However, her economic democratisation policy faces hurdles amid a gloomy outlook for next year.

The growth rate for the third quarter of this year was virtually zero percent, while the annual rate for the past two years stood in the 2-3 per cent range.

Major organisations have predicted around 2 percent growth for 2013, with projections taking into account worries about the drawn-out Eurozone crisis.

The domestic front faces worsened employment conditions, high household debt, falling real estate prices and growing private education expenses.

Welfare has become one of the top priorities for the country's next president, whose campaign was anchored on solutions for the nation's growing economic inequality and diminishing fertility rate.

In less than a half century, Korea rose from being one of the poorest countries to one of the wealthiest in the world. However, the economic miracle has been followed by a widening income gap, an aging population and a falling birthrate.

Worse, an increasing number of well-educated people are without jobs. According to OECD reports, about 15 per cent of Koreans earn less than 50 per cent of the median income. One in every five college graduates is still searching for a job. The poverty rate among seniors is one of highest in the world, while the proportion of women working is far below the average for rich countries.

Park, the first female president of Korea, will face public desire for a fairer society and demands for improved social security to match the nation's economic prosperity.

From medical support, pension and child care to other public services, Park has promised that her administration will introduce welfare programs tailored for all age groups so that people can secure jobs and a stable income throughout all stages of life. Her welfare policies are also selective, designed to deliver bigger benefits to those most in need.

For Park, welfare is a key to identifying herself with middle-class voters and to efface her long-established image as a daughter of former president Park Chung-hee. Stressing that she has no family to take care of or child to inherit her property, Park attempted to project an image of a guardian of the state and the people. She promised to increase the proportion of the middle class to 70 per cent by implementing diverse welfare policies.

Park's key campaign policies include providing free education for high-school students, expanding health care for the elderly and child benefit. Introducing one month's paid paternity leave, so fathers can take care of their newborn babies, is also one of her welfare highlights. Park said her government would generate 27 trillion won extra in revenue a year, or 135 trillion won over the next five years, by reducing inefficient government spending and expanding tax revenue.

However, the president-elect will have to prove how those pledges are financially feasible and whether they are directed at those in need during the policymaking process.

The new president also needs to weave her welfare policies together and create a synergy effect as her plans have been often criticised as being vague and inconsistent.

"Park's pledges may look as if they would cost less than Moon's, but her disparate campaign policies, if carried out without a broad welfare infrastructure, would fail, and this would end up wasting money," said Hong Yong-joon of Sangmyung University.

She is also tasked with establishing a control tower to efficiently deliver programmes and coordinate jobs among related ministries, and developing her welfare pledges into viable policies.